Regional Water Reliability Plan Meeting

Transcription

1 Regional Water Reliability Plan Meeting June 13, 2018

2 Today s Agenda 1 Conjunctive Use Recap What is being done nearterm for water marketing? 2 Water Marketing Discussion 3 Getting to an Operational Bank What can this be turned into long-term? 4 Next Steps

3 Conjunctive Use Recap

4 Conjunctive Use Recap

5 Simulated Groundwater Bank 10-Year Historical (Existing Potential) 10-Year Water Bank Budget Average Banked Water (TAF/yr) Average Recovered Water (Less Losses) (TAF/yr) Ending Banked Water Balance (TAF) Unrecoverable Water (TAF/yr)

6 Simulated Groundwater Bank 10-Year Historical (Near-Term Potential ) 10-Year Water Bank Budget Average Banked Water (TAF/yr) Average Recovered Water (Less Losses) (TAF/yr) Ending Banked Water Balance (TAF) Unrecoverable Water (TAF/yr) TAF 1.4

7 Existing vs. Near-Term Banking Operations 10-Year Water Bank Budget Existing Near-Term Increase Average Banked Water (TAF/yr) Average Recovered Water (Less Losses) (TAF/yr) Ending Banked Water Balance (TAF) Unrecoverable Water (TAF/yr) Potential Water Sale Revenue* over Simulation Period $5.3 $8.8 million/yr $8.1 $13.5 million/yr $2.8 $4.7 million/yr TAF = thousand acre-feet * Assumed $300 to $500 per acre-foot

8 Water Marketing Discussion

9 Institutional mechanism to allow for efficient market-based re-allocation of water supplies. Water Transfers Groundwater Banks

10 Voluntarily sale or/exchange of the right to use all or a portion of the water that would have been consumptively used. Should result in real water : Stored Surface Water Groundwater Substitution Crop Idling/Shifting Conserved Water 2 types of transfers: Short-Term (Spot Market) Long-Term

11 Have regional experience with water transfers Dating from late 90s to this year Opportunistic, short-term spot market Key Challenges: Unpredictable, subject to Delta conditions, administratively inefficient, customer perception

12 Banking is the storage of surface water in groundwater aquifer for later recovery. Involves active adaptive management (accounting, monitoring). Stored Water Sources: Local supplies (water rights, CVP, recycled water, flood/stormwater) External partners supplies (TBD) End Users: Local and/or External (agricultural, M&I, refuge, in-stream flow augmentation) 2 potential bank types: Regional or Federally Recognized

13 Streamlines transfers and exchanges Supports expansion of conjunctive use and water marketing Uses region s surface water rights and entitlements Promotes groundwater basin sustainability Provides predictability for long-term investment

14 Getting to an Operational Bank

15 Getting to an Operational Groundwater Bank Visioning, Scoping, & Foundational Analyses Feasibility Determination Project Approvals Implementation Asset Development & Investment Evaluation External Partners Initial Commitments Local Approval Monitoring, Accounting, Reporting, & Adaptive Management Market Analysis Financial Feasibility External Partners Agreements Governance & Implementation Governance Structure State Approvals Project Description CEQA/NEPA Federal Approval

16 Visioning, Scoping, & Foundational Analyses Asset Development & Investment Evaluation Quantify Marketable Assets for Different Levels of Physical and Institutional Investments Hydrological, Operational & Physical Constraints Analysis Infrastructure & Investment Considerations RWRP Conjunctive Use Existing & Near-Term Opportunities ARBS Conjunctive Use Long-term Opportunities Legal and Environmental Constraints Analysis Water Market Identification & Evaluation RWRP Water Market Research Market Analysis Identify Market Focus and Preferences (Types, Partners, and Requirements) Financial Model Development Financial Scenario Analysis Governance and Partnership Framework Governance & Implementation Develop Implementation Plan to Support Targeted Markets and Investments Water Marketing Support Tools Monitoring Plan ARBS CalSim 3.0 regional model SGMA Regional Groundwater (IWFM) Model* * Total cost: $0.8-$1M - Funded: $500k - Unfunded: South American Basin $300k Cosumnes $200k WaterSMART Water Marketing Project

17 Feasibility Determination External Partners Initial Commitments Type and level of participation in banking Partially funded by RWRP CVP Engagement ($25k) Financial Feasibility Confirm local participants & their Level of participation in banking. Not funded $50k to $200k Governance Structure Outline preferred governance structure, and roles & responsibilities. Project Description CEQA/NEPA Regional & Statewide Impact Analyses using CalSim 3.0 & Regional Groundwater Model. Not funded $1.18 M to $1.47 M

18 Project Approvals Local Approval Local Partners Each Approve Participation in Project & Governance External Partners Agreements Confirm Participants & Their Level of Participation Not funded $120k to $235k State Approvals State Water Board Notifications /Approvals (as applicable) Federal Approval Reclamation Approval of CVPIA Groundwater Bank

19 Implementation Ongoing implementation activities for operating a groundwater bank. Monitoring Accounting Reporting Adaptive Management

20 Funding Needs for Getting to an Operational Groundwater Bank Visioning, Scoping, & Foundational Analyses Feasibility Determination Project Approvals Implementation Asset Development & Investment Evaluation Already funded External Partners Initial Commitments Local Approval Monitoring, Accounting, Reporting, & Adaptive Management Market Analysis Already funded Financial Feasibility External Partners Agreements Governance & Implementation $300k - $500k (IWFM model) Governance Structure State Approvals $50k - $200k $100k - $200k CEQA/NEPA $1,180k - $1,465k Federal Approval $20k - $35k Education & Public Engagement $150k Total Preliminary Cost for Unfunded Actions: $1.7M to $2.6M

21 Funding Sources & Status* WaterSMART Water Marketing Project $400,000 9% Sustainable Groundwater Management Act (DWR) $357,000 8% American River Basin Study $807,862 18% Unfunded $2,200,000 50% Regional Water Reliability Plan/Regional Drought Contingency Plan $658,906 15% * Excludes In-Kind Funding

22 Funding Proposal Discussion Fiscal Year Tasks FY 18/19 $100k: State/Federal/Partners + Agency Engagement $300k: IWFM model $100k: Public Outreach FY 19/20 $900k: CEQA/NEPA $100k: Feasibility/Approvals $50k: Public Outreach FY 20/21 $450k: CEQA/NEPA $150k: Approvals Cost $0.5M $1.1M $0.6M

23 Next Steps

24 Next Steps RWRP Meeting July 11 & August 8 Initiate engagement with local & external potential partners Develop public outreach strategy Develop RWRP Report